1.Is deprciation a source of funds? How is it treated in
calculatiing fund from operations?
2. What is standard costing? Ple. give its advantages.
3. What do you mean by solvency ratios. List two types of
solvency ratios which are used by variuos firms.
4. What is objectives of Job costing?
5. Explain Brifly two capital budgeting technique using
discounted cash flow criteria.
Answer Posted / vikrant gawde
No,depreciation is not source of funds. It is non-cash
item. While adjusting it under cash flow from operative
activities it is added in Net profit before tax and
extraordinary items.
One of many ratios used to measure a company's ability to
meet long-term obligations. The solvency ratio measures the
size of a company's after-tax income, excluding non-cash
depreciation expenses, as compared to the firm's total debt
obligations. It provides a measurement of how likely a
company will be to continue meeting its debt obligation
job costing is used to ascertain the cost of non-standard
jobs undertaken against customers specific orders. The main
object of the job is to ascertain the cost of each JOb ,
contract etc. and control its costs during its execution.
Technique of capital Budgeting:
1. Net present Value:
It is the sum of all present value of cash flow that are
expected to occure over the life of the project.Accept the
project if NPV is positive and reject the project if NPV is
Negative
2.Internal Rate of Return:
It is the discount rate of return which makes the NPV equal
to the ZERO.
Accept: if the IRR is greater than cost of capital
Reject: If the IRR is less than cost of capital
| Is This Answer Correct ? | 1 Yes | 0 No |
Post New Answer View All Answers
what is cost center & cost categories in tally
What is the general classification of accounts that usually ledger account involve?
Q1©. Gratuity of Rs. 1,20,000 is received in August, 2007 by Mr. M, a legal heir of Mr. R aged 45 years who died on June 28, 2007. Is it taxable?
How can you define departmental accounting?
A Company has not deposited its ESI /PF dues from 01-04-10 till 31-12-10 in a year (Both the shares). What is the maximum time limit for that and is the liability as on date. Management wants to daly at the maximum, but want the calculations of each & every aspect- monthwise. The avrerage no. of employees are 50 and the salary is around 2.00 to 2.5 Lacs per month.
What procedure for excess payment to supplier I would like know without adjusting invoice that means how supplier will send back excess amount how do in oracle apps?
What is book profit? How it was calculated
What are accounting rules called?
A firm had the following Balances on 1 January 1994: (i) Provision for bad and doubtful debts Rs 2,500 (ii) Provision for discounts on debtors Rs 1,200 (iii) Provision for discounts on creditors Rs 1,000 During the year, bad debts amounted to Rs 2,000, discounts allowed were Rs 100 and discounts received were Rs 200. During 1995 bad debts amounting to Rs l,000 were written off while discounts allowed and received were Rs 2,000 and Rs 5,000 respectively. Total debtors on 31 December, 1995 were Rs 48,000 before writing off bad debts, but after allowing discounts. On 31 December, 1995, this amount was Rs 19,000 after writing off the bad debts, but before allowing discounts. Total creditors on these two dates were Rs 20,000 and Rs 25,000 respectively. It is the firm’s policy to maintain a provision of 5% against bad and doubtful debts and 2% for discount on debtors and a provisions of 3% for discount on creditors. Show the accounts relating to provisions on debtors and provisions on creditors for the year 1994 and 1995.
Tell me how can you explain the basic accounting equation?
Dear Sir I had already export to dubai. now I am to know that can I enter this sale entry in RG1. pls guide me.
Were i have to enter for agreements in tally and in which ledger it will come
Where do we show "Dividend paid in FFS ,either in FFO or in FFS? what is teh concept behind?
What are the different branches of accounting?
What is fractional code and how can i get a fractional code for a particular account?